| BIL delivers resilient 2024 performance and reaffirms its long-term vision as a universal bank | https://www.bil.com/en/bil-group/pressroom/news/Pages/BIL-delivers-resilient-2024-performance-and-reaffirms-its-long-term-vision-as-a-universal-bank.aspx | BIL delivers resilient 2024 performance and reaffirms its long-term vision as a universal bank | | <p><b>Key figures for 2024</b></p>
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<li>Assets under Management (AuM) rise to EUR 46.8 billion</li>
<li>Customer deposits reach EUR 18.8 billion</li>
<li>Customer loans exceed EUR 16.2 billion</li>
<li>Total revenues reach EUR 719 million</li>
<li>Expenses decline to EUR 499 million</li>
<li>Net income: EUR 170 million</li>
<li>CET1 ratio rises to 14.25% (after profit allocation)</li>
<li>Liquidity coverage ratio reaches 200%, well above regulatory threshold</li>
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<p><b>Unpredictable macroeconomic trends in 2024</b></p>
<p>In 2024, economic conditions remained volatile. Geopolitical tensions, fluctuating energy prices contributed to an unpredictable global environment. The European Central Bank (ECB) initiated a gradual decrease of its interest rate in June 2024, after a sudden hike from 0% in July 2022 to an all-time high of 4% in September 2023. Although easing had started, the effect of high rates continued to impact major sectors across Europe and Luxembourg throughout 2024, notably real estate and construction.</p>
<p>At the same time, AI (Artificial Intelligence) gained momentum as a transformative force, adopted by governments and companies to boost productivity and navigate fast-changing technological landscapes. BIL embraces this new technology to adapt and transform its services. Berry, the Bank’s virtual assistant is available to clients on its online banking platform BILnet since May 2024. Powered by AI, Berry can help clients with questions related to credit card status and credit card payments. Its abilities will be progressively enhanced, contributing to the development of BIL’s digital services offering.</p>
<p><b>A resilient performance, 2024 net income of EUR 170 million</b></p>
<p>BIL’s performance in 2024 reflected its resilience in a challenging environment. The global instability and the prevailing interest environment impacted households and businesses. Clients showed increased caution, especially when it came to new investments and borrowing decisions.</p>
<p>Total loan volumes declined slightly to EUR 16.2 billion (from EUR 16.4 billion in 2023), while customer deposits increased to EUR 18.8 billion supported by attractive interest rates and growing demand for more remunerative saving products. Assets under management rose from EUR 43.8 billion in 2023 to EUR 46.8 billion, driven by both new inflows and positive market performance, a clear sign of client trust.</p>
<p>BIL's total revenues reached EUR 719 million, while expenses declined to EUR 499 million. Thanks to its disciplined management of costs, risks and capital, the Bank is financially robust and well capitalized with a Common Equity Tier 1 ratio of 14.25% (after profit allocation) and a Liquidity Coverage ratio of 200%.</p>
<p><b>Building Tomorrow Together</b></p>
<p>With its new 2025-2030 strategic plan, BIL reaffirms its commitment to being a strong, reliable partner for its clients and the broader financial system, rooted in Luxembourg.</p>
<p><b>Looking ahead, BIL aims to:</b></p>
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<li><b>Strengthen its full range of services across Wealth Management, Corporate, Institutional and Retail Banking: </b>
<br>BIL will focus even more on its core businesses and leverage its expertise on its domestic market, Luxembourg, and the greater region. It will also grow its international wealth management activities on selected markets, starting with the opening of a branch in France in 2025.</li>
<li><b>Enhance customer experience:</b>
<br>The Bank will bring its operational efficiency to the next level by leveraging the full potential of its new core banking system and the integration of the latest technologies such as Artificial Intelligence. It will develop its digital offering to enhance customer experience and response time.</li>
<li><b>Support Luxembourg's economic development:</b>
<br>With its healthy balance sheet and careful management of risks, the Bank will have strong capital and liquidity levels to continue financing the development of Luxembourg's economy.</li>
</ul>
<p><b>Jeffrey Dentzer, CEO of BIL commented:</b>
<br>“<i>BIL has been by the side of individuals, families, and entrepreneurs for generations, not just as a bank, but as a partner in their lives and ambitions. Our 2024 results confirm the strength of the strategy we put in place: focused, resilient, anchored in the needs of our clients and anticipating the future. We will continue to work relentlessly to support them, to stay the bank they can rely on, today and tomorrow</i>”.</p>
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<a class="sub-link" href="{%BIL_Internet_Root_URL_Luxembourg%}/Documents/brochures/BIL_Annual_report_2024.pdf" target="_blank">
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<span class="sub-title">Annual Report 2024</span>
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| 24-Apr-25 12:00:00 PM | EN | Banque Internationale à Luxembourg (BIL) today announced its 2024 financial results. | | |
| Governance changes at BIL: Marcel Leyers appointed Chair of the Board and Jeffrey Dentzer CEO | https://www.bil.com/en/bil-group/pressroom/news/Pages/Governance-changes-at-BIL.aspx | Governance changes at BIL: Marcel Leyers appointed Chair of the Board and Jeffrey Dentzer CEO | | <p>Marcel Leyers, CEO of BIL since May 2019, retired from executive management and is appointed Chair of the Board of Directors. He takes over from Jing Li, Legend Holdings, Chair ad interim since March 2023 who becomes Vice-Chair of the Board of Directors. <br>
Marcel Leyers joined BIL in 1983. After a few years as a relationship manager in the retail banking activity, Leyers developed a deep interest for businesses, entrepreneurs and corporations. He became the Head of Corporate and Institutional Banking (CIB) in 2011, joined the Executive committee in 2013, to become the CEO of the Bank in 2019.
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<p>To replace Marcel Leyers at the helm of the Bank, Jeffrey Dentzer, Deputy CEO since 1 January 2024, is appointed CEO.
Before this role, Dentzer served as Chief of Luxembourg Market & CIB and Member of the Management Board of BIL since January 2020. At this position he was leading the Bank’s three main businesses on its domestic market: Retail Banking, Wealth Management and Corporate and Institutional Banking.
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<p>Since 1 January 2024, Marcel Leyers and Jeffrey Dentzer worked hand in hand to ensure a smooth transition at the head of the Bank. As its strategic plan Energize Create Together 2025 comes to a close, the Bank is working on a new strategic plan centered on its clients and its commitment to bringing a continued support to the economy. </p>
<p><strong>Jing Li, Vice Chair of the Board of Directors representing Legend Holdings, commented:</strong><br>
“As CEO of BIL, Marcel Leyers guided the Bank successfully through the pandemic and a major IT transformation project. I would like to thank him for the tremendous work done. As he is stepping down as CEO, Jeffrey Dentzer is the perfect person to lead the Bank in the new chapter of its sustainable growth story, together with the Executive Committee and all BIL staff. The expertise, experience and insights that both bring to the Bank are invaluable, and I wish them success.”
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<p><strong>Marcel Leyers, Chair of the Board of Directors and former CEO commented:</strong><br>
“This change in leadership has been carefully prepared. With Jeffrey Dentzer, I am confident we have the right person to lead BIL towards its next success chapters and to overcome the many challenges that no doubt will arise. He has demonstrated a deep knowledge of all our businesses and his ability to steer the teams in the right direction.”
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<p><strong>Jeffrey Dentzer, CEO of BIL commented:</strong><br>
“I would like to thank the Board of Directors, the Executive Committee and all staff of the Bank for their trust. I look forward to working together to bring our clients excellent services and products that will support them in their projects and contribute to the development of Luxembourg’s economy.”
</p> | 22-May-24 6:00:00 AM | EN | Le Conseil d’administration de la Banque Internationale à Luxembourg (BIL) a nommé Marcel Leyers Président du Conseil d’administration et Jeffrey Dentzer Président du Comité exécutif. | | |
| 2023, a year of transition and transformation | https://www.bil.com/en/bil-group/pressroom/news/Pages/2023-a-year-of-transition-and-transformation.aspx | 2023, a year of transition and transformation | | <p><strong>Staying resilient in a challenging macroeconomic context</strong><br/>
2023 was a complex year, be it for its geopolitical challenges, macroeconomic events or for BIL specific development. After the robust post-pandemic expansion in 2021 and 2022, the economy lost momentum in 2023. Europe faced multiple macroeconomic challenges, induced by on-going conflict in Eastern Europe and in the Middle East. The rate hike campaigns launched in 2022 by monetary authorities to curb inflation reached a peak during the second half of 2023. In the eurozone, higher interest rates had the effect of reducing the financing capacity of households and businesses, thus contributing to the slowdown of economic activity. In Luxembourg, construction has been affected by the current downturn in the real estate sector and as a consequence, slowed down lending activity. In such a challenging environment, the Bank is committed to support its clients and to offer adapted solutions to their projects and situation. </p>
<p><strong>Implementation of a new core banking system to enhance services</strong><br/>
In this ever-changing business environment, BIL has risen to these external challenges by staying on track of its transformation and, embracing emerging trends, new technologies and evolving market dynamics to build long-term sustainable growth. In 2023, BIL successfully completed the changeover of its Core Banking System, a project of unprecedented scale, while continuing to cater to clients’ needs. BIL has now a strong foundation to develop new services and to improve client experience for the years to come. </p>
<p><strong>Sound performance of commercial activities </strong><br/>
BIL Group reported a net income after tax of 202 million euros, driven by solid revenue growth, partly offset by an increase in expenses and cost of risk. This good financial performance can be attributed to the Bank’s business resilience and a solid risk management culture. Customer deposits, standing at 18.5 billion euros decreased mainly due to clients moving their deposits to higher return investments and proceeding to the early repayment of their variable rate loans in the context of higher interest rates. Customer loans, at 16.3 billion euros are stable compared to last year, due to the combined effect of a significant slowdown in mortgage loan production in Luxembourg and early mortgage loan repayments which continued throughout the second half of 2023. In the past year, domestic market housing demand has been hard hit by rapidly rising interest rates, coupled with a sharp reduction in construction activity caused by the downturn in the real estate sector and rising raw material costs. Assets under Management amounted to EUR 43.8 billion compared with EUR 43.5 billion at year-end 2022, up by +0.7%.
At the end of 2023, BIL showcased sound asset quality and strong capital and liquidity indicators. Its CET- 1 ratio stood at 14.41% after profit allocation compared with 14.03% in 2022, and its Liquidity Coverage Ratio also improved compared to 2022, at 174% versus 153%.
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<p><strong>2024, ready for the future</strong><br/>
As the global economy is changing rapidly, in 2024, BIL's primary focus will be on its clients: fostering robust relationships, reaching a higher level of quality of service and constantly adapting the value proposition to their needs.<br/>
The Bank will remain focused on the implementation of the key initiatives of its 2020-2025 strategic plan, whose purpose is to be fit for the future: </p>
<ul style=" list-style: disc;
margin-bottom: 35px;"><li>By continuing to enhance its diversified business model .</li>
<li>By leveraging its new Core Banking System to drive future growth. This solid foundation will allow the Bank to develop new and improved services, combining the best of digital and physical.</li>
<li>By strengthening and simplifying its operations. Thanks to its new target operating model, BIL will create a robust and dynamic bank ready to face the future with confidence</li></ul>
<p>Marcel Leyers, CEO of BIL, commented: " Our 2023 performance confirms the relevance of our strategic choices and of our comprehensive and loyal response to the needs of all our clients, be they individuals, entrepreneurs, and businesses. In 2024 and for the years to come, BIL will continue to be the reliable partner it has always been.”</p>
<p>BIL’s annual report is available <a href="https://www.bil.com/Documents/brochures/annual-report-2023-en.pdf" target="_blank">here</a></p> | 24-Apr-24 12:00:00 PM | EN | During the General Assembly held on April 24 2024, shareholders approved Banque Internationale à Luxembourg (BIL) 2023 financial results. | | |
